PERFORMANCE APPRAISAL AND COMPENSATION MANAGEMENT : UBER
PERFORMANCE APPRAISAL
Uber is is a transportation company that employees everyday people that drive their own personal vehicle to take you on trips from one place to another. Because of the low overhead, Uber rides tend to be less expensive than transportation services like taxis and shuttle.
So when you use Uber, you are meant to rate the driver and the driver is meant to rate you. This is a simple measurement system and if you ever heard of Hawthorne Theory, you would know that “the moment you begin to measure a thing, the behavior of the thing changes”. For example if I announce that I will start measuring the way you all use water in your office from a particular day, there is a high likelihood that the way you use water will change slightly. What this means is that the driver in an Uber Taxi has a ready-made reason to behave and drive well because they know the passenger would rate them after the trip; and the passenger in turn also have reasons to behave well because the driver would rate him or her after the trip.What we do not realize is that Uber is managing the performance of drivers and passengers in the most unnoticed way possible.
So when you use Uber, you are meant to rate the driver and the driver is meant to rate you. This is a simple measurement system and if you ever heard of Hawthorne Theory, you would know that “the moment you begin to measure a thing, the behavior of the thing changes”. For example if I announce that I will start measuring the way you all use water in your office from a particular day, there is a high likelihood that the way you use water will change slightly. What this means is that the driver in an Uber Taxi has a ready-made reason to behave and drive well because they know the passenger would rate them after the trip; and the passenger in turn also have reasons to behave well because the driver would rate him or her after the trip.What we do not realize is that Uber is managing the performance of drivers and passengers in the most unnoticed way possible.
As simple as the system is with no Human Resource Manager shoving the process down the parties, the Uber system is encompassed with all the variables of a proper performance management system which includes the following stages.
1: Setting Smart Goals and Objectives:
Without doubt, before any car gets registered with Uber, several rules are given on how they would perform during driving and the objectives are so smart that you even know the reasons why you can be deactivated from Uber. Their driver policy is very clear.On the other hand, passengers have a natural human performance goals, we should all naturally behave well as humans.
More importantly, both the driver and the passenger know that at the end of the trip there would be a rating for both parties by both parties, more like a 360 degree feedback system. most importantly do people know they would be measured after performance.
Without doubt, before any car gets registered with Uber, several rules are given on how they would perform during driving and the objectives are so smart that you even know the reasons why you can be deactivated from Uber. Their driver policy is very clear.On the other hand, passengers have a natural human performance goals, we should all naturally behave well as humans.
More importantly, both the driver and the passenger know that at the end of the trip there would be a rating for both parties by both parties, more like a 360 degree feedback system. most importantly do people know they would be measured after performance.
2. Monitoring:
When objectives are set, the next most important stage in any performance management system is “monitoring performance”. This means after setting the performance goals, performance must be monitored. Uber’s system also has this covered. Simply because you know you would rate the driver you unconsciously watch out for his behavior, driving style and professionalism; in turn the driver watches out for your communication style and attitude in the course of the trip.
This is a very popular stage of performance management system, people call it performance appraisal, some companies run performance appraisal once in a year, others twice in a year; it’s important for you to know that there is a difference between performance management and performance appraisal, performance management is the entire system while performance appraisal is only one stage in the performance management system.Uber also understand this principle; they ensure appraisal is deployed at the end of the trip, it is recorded and it can be used to make decisions.
An Uber driver would be deactivated if the driver’s performance falls below 4.6 out of 5,interesting is that passengers too can be deactivated if their rating drops to a certain level. More importantly Uber also introduced the VIP Status with several benefits, you attain VIP when you sustain excellent rating over a period of time. uber provides incentives in the form of business grants for drivers for accomplishing the particular targets this is a way of celebrating excellent performance in Uber.
An Uber driver would be deactivated if the driver’s performance falls below 4.6 out of 5,interesting is that passengers too can be deactivated if their rating drops to a certain level. More importantly Uber also introduced the VIP Status with several benefits, you attain VIP when you sustain excellent rating over a period of time. uber provides incentives in the form of business grants for drivers for accomplishing the particular targets this is a way of celebrating excellent performance in Uber.
UBER COMPENSATION TO EMPLOYEES
1. INSURANCE,HEALTH AND WELLNESS
l Health care and insurance
l Life insurance
l Disability insurance
l Dental insurance
l Vision insurance
2. FINACIAL AND RETIREMENT
l Pension plan
l Retirement plan
l Performance bonus
l Family and parenting plans
l Work from home
3. MATERNITY AND PATERNITY LEAVE
l Childcare
l Reduced or flexible hours
l Unpaid extended leave
4. PERKS BENEFITS
l Employee discounts
l Free lunch
l Gym membership
l Company car
5. VACATION AND TIME OFF
l Paid time off
l Sick leave
l Bereavement leave
6. PROFFESIONAL SUPPORT
l Diversity program
l Job training and tuition
l Apprenticeship program
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